1 June 2001

Precise Change(HKTDC Watch & Clock, Vol 02,2001)

Precise Change

Pocket & Pendant Watches

MOST
people own at least one wrist-watch, which is precisely why pocket and pendant
watches make such a nice change. Hong Kong manufacturers excel when producing
anything related to time. Naturally, pocket watches are no exception.

Bonita Accessories Co offers classic elegance in traditional silver pocket watches
with chains. Founded in 1989, the company makes silver and stainless steel watches.
The sterling silver is sourced from the UK.

Producing 50,000 pieces per month, the company has a minimum order of 100 pieces
and can deliver in 45-60 days. Its major market is the US.

Company manager Danny Pang deems design important. "We have a 10-person
design team at our 300-worker factory on the Chinese mainland. Although we have
an emphasis on design, we also underline our product quality. This enables us
to succeed in Europe, where price is not everything."

A little extreme fashion never did any harm, and Carich Time Ltd certainly makes
a fashion statement! Shown are a Japanese kimono watch priced at US$4 FOB Hong
Kong, a key-chain watch at US$2.80 and a ladybird-pendant watch at US$2.80.

Each month, the 14-year-old company makes about 70,000 bracelet, leather-band,
accessory and digital watches. Minimum order is 300-500 pieces for delivery
in 35-45 days.

Sometimes branded Laurier, the company's products appear across North and South
America, Europe, Japan and the Middle East. Carich sources its alloys and other
metals on the Chinese mainland, where it maintains a 700-worker factory, complete
with ISO 9002 certification.

Sales executive Emily Li stresses style. "We have three in-house designers,
one of whom travels the world looking for ideas. We plan to use our distinctive
styling edge and improvements in quality standards to move the products up-market
over time. Our watches sell because of the uniqueness of our design team, and
the fashion element it injects."

E&C Watch Enterprise Ltd favours a retro-fashion look. Shown are its pocket
and pendant watches featuring chased-brass cases in the style of an earlier
age. These models are priced at US$10.80-13 FOB Hong Kong.

Founded in 1984, E&C generates 30,000 watches per month in pocket, pendant
and wrist variations, using brass, stainless steel and aluminium. Minimum order
is 100 pieces per model for delivery in 35-40 days. Major markets are the US,
the UK, Spain and elsewhere in Europe. At its Hong Kong offices and mainland
factory, the company employs more than 100 people.

"Design is so important. We have a team of in-house designers producing
a range 80% of our customers like well enough to order. Our company controls
most stages of production, so we maintain consistent quality up to Swiss standards."

TriEmpire Industial Ltd is an 11-year-old enterprise making timepieces and magnetic
health products. Production capacity is 200,000 pieces per month, and minimum
order is 300 pieces. Delivery comes after 2-4 weeks. The main markets are Europe,
Japan, South America and continental Asia.

Raw materials, such as zinc alloy, brass, plastic and steel, are all sourced
on the Chinese mainland, where the company employs 200 workers. Popular products
include a lanyard watch, a two-in-one pocket/wrist-watch, a key-chain watch,
a standard pocket watch and a pendant watch, each priced at US$2-3.50 FOB Hong
Kong.

"We have an in-house design department, and we work towards what our customers
want. They also frequently supply us with styles to produce for them. We aim
to increase our range as we go, so as to expand penetration of the medium-to-volume
end of the market. We also offer fast delivery and high quality," says
TriEmpire manager Teresa Tam.

Created in 1979 to make watches and clocks, Wing Root now specializes in pocket
and pendant watches in various materials. Minimum order is 300 pieces per design,
with deliveries in 45 days. The main market is the US.

Magical Numbers

Digital Watches

AS
leading timepiece makers, Hong Kong companies see digital LCD watches as a forte.
Long gone are the days when their digital watches merely flashed the time. Sophisticated
and popular models provide stylish designs and an array of specialized features.

The simple, elegant lines and vertical time displays of unisex digital watches
from Modern Jade Products are a case in point. In addition to a main screen
displaying hours and minutes, two other screens can be activated to view seconds
or month and date.

"We like to stick to the basics. We have had this model for about six months,
and it is very popular," says Modern Jade director Peter Kwong. The alloy
case and woven or plain PU band can be ordered in various colours.

The four-year-old company's collection of more than 10 digital watch models,
priced at US$0.96-1.40 per piece FOB Hong Kong, is exported to Europe and East
Asia. Digital models account for half the company's monthly output of 500,000
watches. Analog watches make up the remainder.

"We do a lot of premium business and want to do more," Kwong says.
Both OEM and private-label orders are welcome. Minimum order is 2,000 pieces,
with delivery 35 days after confirmation.

Latitude Ltd has an assortment of new models offering specialty features for
discerning consumers. Its Sensor Master model, at US$25 FOB Hong Kong, displays
temperature, barometric pressure and altitude. The sensor technology is from
Europe while programming for the functions was developed in Hong Kong.

The company's Zoom Zone watch, at US$22 FOB Hong Kong, combines world time and
a geographical display system. "When you input longitude and latitude into
the watch, it can tell your location within 20-25 miles," says business
development director Ricky Law. It can also give the distance between two locations.

Other models measure gamma-ray absorption, wind speed or heart rate. An upcoming
model features a compass.

Chronograph functions, such as a countdown timer, a 10-lap memory, 12/24-hour
format, daily alarm and hourly chimes, are incorporated into the company's 100-plus
digital models.

Most Latitude watch cases are made of ABS, polycarbonate or a combination of
polycarbonate and fibreglass, with PU used for the bands.

"We classify our watches as mass-market consumer watches, although during
the past decade we have shifted towards more technical products," Law says.

Latitude produces 350,000 digital, anadigit and analog watches monthly at prices
of US$3-25 per piece FOB Hong Kong. Most are exported to the US, Germany and
Japan. Minimum order is 1,000 pieces per model. Delivery time follows order
confirmation by 30-45 days.

More innovation comes from four-year-old Innomind Int'l Ltd, with its Virus
watch, at US$7 FOB Hong Kong. This watch uses the latest infrared technology
to allow wearers to play games with each other.

"Once users are within 10 feet of each other, they can transfer symbols,
graphics and sound effects. The losing watch is temporarily disabled, and the
time must be reset," says marketing executive Carolin Ng.

Innomind's OVO-The New Generation model, at US$6.80 FOB Hong Kong, offers games
like tic-tac-toe and other interactive functions. "If you are walking and
ask the watch to suggest a direction to take, it will display an arrow,"
says Ng.

Cases and straps are made of ABS, available in different colours. The company's
collection features seven digital models, selling for US$5-8 per piece FOB Hong
Kong and exported to the US, the UK and Japan.

Innomind requires a minimum order of 2,000 pieces. This OEM and private-label
manufacturer produces 50,000 watches per month, a small percentage of them premium
items. Delivery is 45-60 days after confirmation.

Late last year, The OEM Time Industries Ltd launched its world-time digital
watch. "We expect young men aged 16-35 to like this product because of
the functions and style," says managing director Jily Jo Lam.

The sporty model sells for US$6 FOB Hong Kong and is programmed with data for
24 time zones. It also has a 20-lap memory to record and store personal performance
times. The watch features an alloy case with a matt finish and a black PU strap.

Digital watches priced at US$3-38 per piece FOB Hong Kong account for 25% of
the 50,000-70,000 watches that the company makes each month. It also produces
analog watches and chronographs.

"While Europe is our main market, we are developing sales in Asia,"
Lam says, noting the company focuses on digital watches for the medium-to-high
market.

The OEM Time Industries has created its own JJ's brand, but most orders are
for OEM or private-label production. Minimum order is 500 pieces per model,
with delivery 45 days after confirmation.

Timepieces For All Time

Antique-Style Clocks

HOLDING
timeless appeal, antique-style clocks command a faithful following. Wasting
no time in serving the resulting international market, Hong Kong manufacturers
offer an array of elegant antique-style clocks in their own designs. They also
produce to customers' requirements.

Lovely Home Enterprises Ltd creates antique-style table clocks using wood and
polyresin sourced mainly on the Chinese mainland. The wooden models are hand-painted
with classic patterns while the polyresin clocks resemble elaborate carvings.

One electroplated polyresin model has a round face supported by a frame of curves
on a rectangular base with a drawer. "The drawer is for storing small articles
or ladies' accessories, like earrings," says Lovely Home president China
Tai, who designs most of the products.

The company's clocks command a per-unit price of about US$25 FOB Hong Kong.
Minimum order is one full container load and 100 pieces per style. Delivery
takes 60-75 days after order confirmation. Lovely Home sells mainly to the US,
the UK and continental Europe.

"We have 100 people in design and development on the Chinese mainland,"
Tai says. In the mainland city of Shenzhen, the company operates an ISO 9002-certified
factory employing 1,000 workers.

The six-year-old company also makes table lamps, furniture and household giftware.
Its monthly production fills 20 or more FEUs.

Shing Fat Industrial Co Ltd offers a collection of antique-style clocks with
plastic frames resembling metal or wood. One rectangular model has an image
of flowers in a vase as its clock face, while the numbers decorate the frame.
Another rectangular model features a woman's portrait opposite the clock. The
series also includes an octagonal, pendulum wall clock.

Manager Choi Wai King says Shing Fat uses plastic from the mainland for about
200,000 antique-style clocks each month. Minimum order is 50 export cartons
per item. Lead time is 45-60 days.

Shing Fat's key markets are the US, Europe, South America and the Middle East.
The company operates a 7,800-square-metre factory, with 800 workers, in Ningbo
on the Chinese mainland.

Established in 1988, the company also makes household items, like photo frames,
mirrors, framed oil paintings and candle-holders.

Sales manager Daryl Tsang says Soongble makes antique-style clocks priced at
US$6-20 FOB Hong Kong, using wood from Asia and America. At its 4,000-square-metre,
600-worker factory on the mainland, the company produces about 20,000 clocks
per month, including 8,000 in antique styles. Minimum order is 1,000 units,
with 50 days to deliver. Major markets are the US, the UK and Japan.

Marketing mainly to Japan, the US, Europe and Hong Kong, the company delivers
40-60 days after order confirmation. The 12-year-old enterprise creates at a
5,000-square-metre, 500-worker factory in Shenzhen.

Turning to the miniature market, Yee On Watch & Jewellery Co sells table
mini-clocks with mother-of-pearl dials set in stands featuring gold-plated brass
and semiprecious stones such as rhodonite, lapis, red jasper and malachite.
Some dials feature applied dots or dashes in gold colours, while others are
printed. The smallest in the series is only 4.5x3.5x1.5cm. Even the tallest,
shaped like a tower clock, is a mere 11x3.5x3.5cm.

"These are for collectors. In addition to metal, we use semiprecious stones
for the stands. Our products are elegant. They give a high-class feel,"
says general manager Lap-fong Ng Hung.

The semiprecious stones come from South Africa, South America, the US, New Zealand
and Southeast Asia.

Items in this line each cost US$6.50-30 FOB Hong Kong. Minimum order is 500
units per style with assorted stones. Delivery takes 30-45 days. Major markets
are the US, Canada, Japan, Germany, France, Spain and Austria.

The 14-year-old company markets under the LaFon brand name. More than 2,000
workers at its factory in Dongguan on the Chinese mainland create 30,000-50,000
timepieces each month. They also cut and polish semiprecious stones.

I acknowledge that the above information may be used by the Hong Kong Trade Development Council (HKTDC) for incorporation in all or any of its database for direct marketing or business matching purpose (and may therefore become available to the public within and/or outside of Hong Kong for use by them), and for any other purposes as stated in the Privacy Policy Statement (available at http://www.hktdc.com/mis/pps/en); I confirm that I have the consent and the authority of each individual named in this form to release their personal data for the purposes stated herein.

(If you are from a member state of the European Union ("EU") / European Economic Area ("EEA")), PLEASE tick here if you accept our use of your provided data for direct marketing purposes.

*For non-EU/EEA customers, please skip this box which is solely for EU/EEA customers as required by the relevant data protection law in the EU.